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Suggestions For Improvement Of HX Company's Equity Incentive Plan

Posted on:2019-02-01Degree:MasterType:Thesis
Country:ChinaCandidate:M WangFull Text:PDF
GTID:2429330590950564Subject:Accounting
Abstract/Summary:PDF Full Text Request
In the era of knowledge economy,human resources play a more and more important role in the development of enterprises.High-quality talents are the prerequisite for the long-term development of the company,and equity incentive has become an important means to retain the core talents of enterprises.However,the new software industry is still very mobile,so the effect of equity incentive has become the focus of the business community and academia.Therefore,this paper has theoretical and practical significance to study the equity incentive scheme of HX company.In this paper,we first take HX Company as the incentive object to discuss whether the equity incentive scheme can stimulate the performance of the company,and find out the disadvantages of the equity incentive scheme of HX Company.Then on the basis of consulting relevant theoretical books of equity incentive and relevant theoretical research literature at home and abroad,combined with the actual operating situation of HX Company,through the various iconic,representative financial indicators for data collection and comparison,This paper analyzes the different financial situation of HX before and after the implementation of equity incentive plan.In addition to the comparison of the company itself,the actual situation in the same industry is similar to that of HX and the equity incentive has been implemented.In this paper,we choose the companies with the most obvious effect to improve the financial situation of the same industry to compare and find out the differences between the two companies' equity incentive schemes.Finally,according to the previous research and analysis,we find that the problems of equity incentive in HX company are simple design of performance appraisal index,too concentration of incentive object,loose performance appraisal condition and so on.This study suggests that by ensuring positive reinforcement,we should continue to introduce multi-period equity incentive plan,choose a suitable equity incentive model for the development of enterprises,actively expand the scope of equity incentive objects,set the appropriate number of incentives subject matter awards,and increase the number of incentives.Non-financial indicators,increase net assets cash recovery index,establish a long-term salary incentive mechanism,optimize the corporate governance structure,cooperate with other incentives,establish a scientific evaluation index system,improve the company's external environment,and so on.Further let HX company equity incentive utility maximization.
Keywords/Search Tags:Equity incentives, Company performance, Case studies, Suggestions for the improvement
PDF Full Text Request
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